Shock formation due to overexpansion of supersonic flow at the inlet to the tip clearance gap of a turbomachine has been studied. As the flow enters the tip gap, it accelerates around the blade pressure-side corner creating a region of minimum static pressure. The 'free streamline' separates from the wall at the corner; and, for Mach numbers greater than about 1.3, it curves back to intersect the blade tip. At this point, the freestream flow is abruptly turned parallel to the surface, giving rise to an oblique shock. The results are consistent with compressible sharp-edged orifice flow calculations found in the literature and with the theory of oblique shock wave formation in supersonic flow over a wedge. For freestream Mach numbers of 1.4 to 1.8, wave angles are 43 to 54 deg, and turning angles are 9 to 20 deg; as the Mach number increases, the angle of turn also increases. It appears that in a turbine, after separating from the inlet corner, the flow reattaches on the blade tip and an oblique shock is formed at 0.4-1.4 tip gap heights into the clearance gap. The resulting shock-boundary layer interaction may contribute to further enhancement of already high heat transfer to the blade tip in this region. This in turn could lead to higher blade temperatures and adversely affect blade life and turbine efficiency.